According to WhaleAlerts, an XRP whale has transferred 23.8 million tokens worth $16.1 million to the crypto exchange Bitstamp. The transfer of assets to an exchange is bearish as it opens up the possibility of being dumped.
The whale’s transfer comes amid XRP’s latest price surge. The token is up by 9.1% in the last 24 hours and by 23.4% in the weekly charts. The asset is also up by almost 99% since January 2023.
The whale may be booking profits, given the crypto’s incredible performance this year. Moreover, the asset was deemed not a security by a U.S. court, which has significantly led to a rise in popularity. However, the whale may be anticipating a price correction and perhaps wants to sell before prices dip.
Will XRP’s price fall?
A liquidation of $16 million worth of tokens could have a significant impact on the asset’s price. However, there is no confirmation if the whale has sold its holdings yet. It has only transferred the tokens into Bitstamp.
According to PricePredictions, XRP’s price could fall in the month of November. The platform anticipates the token to fall to around $0.65 by early December. However, the asset is one of the most popular forms of remittance in cross-border transfers. With a “non-security” label from the court, analysts anticipate an increase in the token’s adoption in the near future.
The whale that transferred the tokens might just be expressing caution in case of a correction. The crypto market is currently following Bitcoin (BTC), which is showing some signs of consolidation. If BTC’s rally stalls, other tokens may take a hit. Hence, the whale might be preparing for the worst.